The price of Brent crude oil dipped to its recent lows today, according to the daily market report from npower.
Speaking from the supplier’s trading floor in Swindon, Optimisation Desk Manager Ben Spry said: “We’re always looking at [Brent oil] for a good story and it’s trading back down towards its recent lows, around $82 a barrel, however it has been trading lower overnight.”
The fall was driven by some “really healthy production” at some US shale oil fields as well as a much stronger dollar than yesterday’s session.
“That’s in spite of that decreased production in Libya that we talked about yesterday,” he added.
Gas and power prices were trading lower this morning, linked to warmer temperatures forecast towards the back end of December, said Mr Spry.
On the UK gas front, the system is forecast to close short by 15 million cubic meters today, partly because unplanned outages at the St Fergus gas terminal are “limiting flows”, said the analyst.
As for power, nuclear plant Dungeness was due to restart today but this has been pushed back to tomorrow, but “on the flipside [there is ample wind generation”, providing more than 6GW of generation today.